(The group) is trying to calm the market. |
Data are slow to arrive, as is normal at this time on the calendar, but already it is clear that this year is not off to a flying start in terms of demand growth. Inventories are high in many places as well. |
Gasoline demand, I think, is the single most bullish number in the entire (EIA) report, |
It's an important shot across the bow of oil markets because it signals the administration is willing to intervene in the market. The volumes are small but $75 a barrel seems to have triggered a sensitive point. |
It's patently obvious that the Saudis, as the world's largest producer, could lead prices lower by offering lower prices, |
It's simply new money, not hot money. |
Now we're just looking for the ceiling. |
OPEC ministers meeting in Vienna on Wednesday should have an easy time deciding to leave well enough alone, while emphasizing worries and vigilance and setting another meeting date. |
The big wild card this year is that there's little to no room for anything to go wrong. And certainly nothing like a refinery blowing up or a hurricane hitting the coast. |
The bottom line is that the overall stocks are huge. But the tightening in stockpiles is finally beginning. |
There has been a rising floor underneath oil prices, ... Last year we were worried about $40 a barrel oil, and now $60 a barrel is the worry. |
There is new money coming into [oil trading] in the number of open-interest contracts, but this is not necessarily a sign of speculation, |
This is a big issue - ultra low sulfur diesel is really easy to contaminate. |
This is a big issue -- ultra low sulfur diesel is really easy to contaminate. |
This is all-around bearish. Demand numbers were so-so and import numbers were big, |